https://www.taxtmi.com/caselaws?id=772851 The ITAT Delhi upheld the validity of reassessment proceedings under section 148, finding that the AO's reasons to believe were based on valid information from DIT(System) rather than mere change of opinion. The approval under section 151 was deemed proper and not mechanical. However, the tribunal ruled against the AO's re-characterization of share sale as asset sale, holding that the AO wrongly applied the "look through approach" without legal basis. The AO's invocation of section 50 to treat share transfer as asset transfer was invalid. Additionally, section 50CA provisions could not be applied retrospectively to AY 2015-16 as they became effective from April 1, 2018. The tribunal directed deletion of short-term capital gains additions while dismissing challenges to reassessment validity. en-us Mon, 19 May 2025 00:00:00 +0530 Sat, 14 Jun 2025 06:47:31 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=772851 The ITAT Delhi upheld the validity of reassessment proceedings under section 148, finding that the AO's reasons to believe were based on valid information from DIT(System) rather than mere change of opinion. The approval under section 151 was deemed proper and not mechanical. However, the tribunal ruled against the AO's re-characterization of share sale as asset sale, holding that the AO wrongly applied the "look through approach" without legal basis. The AO's invocation of section 50 to treat share transfer as asset transfer was invalid. Additionally, section 50CA provisions could not be applied retrospectively to AY 2015-16 as they became effective from April 1, 2018. The tribunal directed deletion of short-term capital gains additions while dismissing challenges to reassessment validity. Case-Laws Income Tax Mon, 19 May 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=772851